Glaukos Corporation has announced it will acquire Avedro, Inc. a leading hybrid ophthalmic pharmaceutical and medical technology company focused on treating corneal disease and disorders.
The acquisition combines two complementary, hybrid ophthalmic pharmaceutical and device organisations and establishes the cornerstone for Glaukos’ new corneal health franchise, providing synergistic avenues for potential long-term growth in large, underserved markets.
The acquisition… establishes the cornerstone for Glaukos’ new corneal health franchise, providing synergistic avenues for potential long-term growth in large, underserved markets
Glaukos plans to leverage its proven market-building expertise, global commercial scale and extensive clinical and regulatory infrastructure to maximise Avedro’s disruptive bioactivated pharmaceuticals and pipeline.
The transaction also expands Glaukos’ R&D capabilities and is expected to strengthen multiple corneal health and vision correction development initiatives now underway across both organisations.
“Avedro is an ideal fit for Glaukos’ core strengths in creating and disrupting ophthalmic markets with novel therapies that address important unmet clinical needs of practitioners and patients,” said Thomas Burns, Glaukos president and chief executive officer.
“Avedro has in place many of the same strategic attributes Glaukos used to pioneer MIGS, including proprietary paradigm-changing solutions, extensive clinical validation, broad reimbursement and first-to-market status.
“Our combined organisations can possess the essential expertise, scale and reach to maximise these opportunities, drive further commercialisation of Avedro’s bio-activated pharmaceuticals and establish another synergistic and durable Glaukos franchise to fuel potential near- and long term growth and shareholder value.”
Avedro’s platform uses its proprietary, bio-activated, single-use Photrexa drug formulations to strengthen corneal tissue and halt progression of the degenerative corneal ectatic disease keratoconus. Typically diagnosed in a patient’s teenage years, keratoconus is characterised by progressive thinning and weakening of the cornea, resulting in vision loss. Approximately 90% of cases are bilateral and as many as 20% of patients ultimately require a corneal transplant. Conventional treatments address symptoms but the Avedro platform is the first and only FDA-approved therapy that can stop disease progression.
Avedro estimates the total U.S. opportunity for its keratoconus therapy to be approximately $3 billion.
Avedro has also developed a pipeline of novel single application bio-activated topical ophthalmic pharmaceuticals for common refractive conditions, including presbyopia, low myopia and post-cataract refractive error, which are estimated to have a combined U.S. addressable opportunity of approximately $23 billion.
“Avedro is extremely pleased with the potential to become part of Glaukos, a highly-respected ophthalmic organisation with a successful track record forging new markets with disruptive technologies like our keratoconus pharmaceutical therapies,” said Reza Zadno, Avedro president and chief executive officer.
“Glaukos already has deep customer relationships with the majority of our target accounts, and a large, seasoned field organisation that can unite with our team to accelerate awareness, adoption and utilisation of our novel platform. In addition, Glaukos will bring its extensive clinical and regulatory resources to bear to help advance our promising pipeline therapies. I believe this transaction can benefit customers, employees and patients, while creating value for shareholders through ownership in a combined company with the expertise, scale and resources to drive meaningful future growth.”